Chocolate Shortbread Surprise

Cream 1/2 cup butter and 1/4 cup sugar together until light and fluffy. Stir in 1 large egg yolk. Work in 1 1/4 cups flour. Knead dough on an unfloured surface until it is nice and smooth. Roll the dough into 2" balls and place on parchment-lined baking sheet. Using your finger, push an indentation in the center of the cookie. Bake at 325 degrees for 10-12 minutes. Place a 1/2" piece of caramel on each cookie in the indentation and bake 1 minute more. Cool cookie completely. When cool, dip entire cookie in candy coating and place sugar lay on on cookie. Let set up on parchment paper.